Silverfin Training - Full Case Study
- Complete Bank Current Account nominal reconciliation and the Bank Reconciliation summary (may need to tick the explained difference button off and on to finally remove red triangle as case study has no difference here)
- Complete Stock template (don't forget the questions on the comms panel on the right)
- Complete Fixed Asset Register - For the addition, you can manually copy the data from the ledger as opposed to importing given it is only one addition. Note that the depreciation is automatically calculated in the Fixed Assets Register (just complete the percentage rate in the end column first), but the adjustment will need posting as an adjustment, and you can do this direct from the Register ("Show Depreciation Journal Summary" - don't forget to fill in the description or the journal will not post - also mark as External).
- Complete accruals and prepayments nominal reconciliations - we will complete these in two different ways to demonstrate how Silverfin can facilitate work in this area.
- Accruals - The details for the only accrual are set out in Notes to the Job. For this case study, simply complete the details of the 2020 Accruals < 1 yr Nominal Ledger reconciliation in workflow 2. Start by using the # tag to link the accrual to the right profit and loss account and then complete the accrual detail from the Notes to the Job. As Silverfin does have the comparative accruals data for 2019,we will now have to create a journal from scratch to post the movement in accruals needed. Go the the client home screen, select Adjustments and then create the journal - get used to using the search box under Account number and don't forget to enter a description.
- Prepayments - we will now work through how prepayments work when the previous year data has been completed and carried forward. Details of the prepayment are in the Notes spreadsheet and also in the cash book (31.12.2020 manual Ltd upload). The full procedures are set out in detail here as you may need to follow this when working on the client for the first time in Silverfin. For the case study assume the invoice for 2019 was £560.16 (if using Daily calculations).
- Complete trade debtors and trade creditors nominal reconciliations (don't forget the opening balances)
- Complete HP account nominal code reconciliation and Summary of Hire Purchase Please refer to the FC help article here. You need to correct <1 year balance and also post the HP interest - remember to tag these Internal/External as appropriate. On the Summary of Hire Purchase make sure it is linked (via the Hash # symbol) to both Hire Purchase (<1 Year) and Hire Purchase >1 Year creditors, and you are reconciling in the HP < 1 Year nominal code reconciliations to the correct (<1 or > 1 year) liability (the drop down box on the left Amount Reconciled To). The HP>1 year reconciliation should be changed to a standard template and manually completed - the logic being if we have confirmed the total and <1 year balance, there is no need for additional work on the >1 year balance.
- Complete Share Capital summary reconciliation, Statutory Information summary and then P+L Dividends paid nominal ledger reconciliation (remember to use import). We are not using the live Companies House link on this case study. Note you would need in a normal job to complete the Share Capital summary reconciliation in 2:Preparation in order to to reconcile the Statutory Information summary to get 1:Planning workflow to 100%.
- On client entertaining use the disallowed expenses account template to disallow 100% of client entertaining
- Import payroll information into Payroll Reconciliation BS (use payroll import template) and complete payroll reconciliation both P&L and B/S. The client has posted all HMRC payment to the B/S PAYE code - incorrect but not unusual. The total NI for the year should be posted to Social Security costs as a journal. On the profit and loss reconciliation, don't forget to tag (# sign) the wages and social security costs accounts to reconcile the figures.
- Complete Summary of VAT returns (don't import) and VAT Turnover Reconciliation. This is probably the hardest element of the cash study, especially for new assistants, as the client is on cash accounting, which does complicate the accounts with reference to debtors/creditors, etc, but there are boxes in the schedules that will help you reconcile the balance. Don't forget to # tag the VAT control account for the opening balance in the Summary of VAT returns. You may want to replace the VAT nominal code reconciliation with a standard template to be able to fully reconcile the closing balance. Do not spend too much time if you choose to look at this and you may simply want to see how it has been tackled in the complete client file.
- Complete the Tax Risk Assessment and other tax schedules (2020 only) - Alphatax will be doing the main calculations, but you can do some work within Silverfin. Assume Capital Allowances per Alphatax are £100 and Alpha tax calculated tax due as £116.
- Complete the profit reconciliation - Answer both questions yes to populate the schedule if it doesn't auto populate
- Explore and complete any other templates that you see fit such as the P/L and B/S analytical review, DLA, tax risk assessment
- if anything in this course didn't make sense; or
- where you think we could improve Silverfin.
Welcome to your PKF Francis Clark Silverfin training.
PREPARATION
Before starting this training, you should have received two emails providing access to Silverfin and Teams and access to some introduction videos. If you have not received these emails, please contact support.
It is critical that you have viewed the introduction videos before commencing this training and the links are repeated below for convenience. You can enlarge all of the videos by pressing on the double edged arrow in the bottom right of the video screen - press escape to go back to ordinary size.
Part 1 Home screen navigation (5 mins) here
Part 2 Client File navigation (23 mins) here - don't worry too much about the editing reports function for the moment - we will be developing this over time, but the main one to use for the moment is the Trial Balance.
Part 3 Working papers (11 mins) here
Part 4 Introduction to accounts (14 mins) here
Note that this training guide is located in the Accounts production and working papers training module on the left hand side. If you get lost, you can come in from Silverfin via the Help button/ FC Help pages and select this module on the left and then click into this training module.
FC INTRODUCTION
Please then watch our short intro video here (8 mins) if you have not already seen this. This provides background on Silverfin and its use within FC and also why we are introducing this new platform. The key aim of using Silverfin is to standardise and streamline our working practices so we can spend more time directly interacting with clients. More information on this can be found in this document and you can also read about the current development focus here.
You should now please refer to our Silverfin policy and procedures document - note that adopting Silverfin does mean we have made substantial changes to our procures incorporating the output of the BPR exercise we have undertaken over recent years. It is therefore key you understand the new policies we are adopting.
Next, we would like to introduce Silverfin to you in their own words - please view the short intro from Silverfin - here (2 mins).
Please note that the screens shown in some of the videos might vary from those that you are using, but the general principles shown remain valid: for example: FC have their own help site that should be accessed before the general Silverfin help desk, the Silverfin S logo in the top left of the screen has been changed to the PKF FC logo, etc. This applies more so to the FC videos you will see in the training plan as they have been recorded as we are developing the FC templates and profile - they are very much a work in progress. We are seeking feedback as we develop this training plan, so please let us know if anything doesn't make sense or doesn't seem to work as it should.
As we have developed Silverfin, we have found it to be very flexible with many useful and different ways of undertaking common tasks. Whilst we have tailored it significantly for FC , we would welcome all further suggestions as to how we can refine the firm’s approach and use of Silverfin as we go forward – this will obviously be more relevant in our first year as we roll out Silverfin and we continue to learn how it functions.
WORKING EXERCISE
Before proceeding to the working exercise below, we would just remind you that in their videos, Sarah from Silverfin made great use of the Right Click, Open as New Tab - Silverfin operates though a browser and works best with having multiple windows open. You should remember to press on Refresh if you work in one window and return to another, but having multiple Tabs open will allow you to work much more efficiently - during our testing, our testers requested the ability to be able to view a TB (with adjustments) at all times and this is now possible. However, be careful of using Silverfin in half of the screen - it works better formatting wise if you use a full screen.
The remainder of the training is modular; recordings are in bite sized chunks to keep you engaged and also to ensure you have adequate breaks and time to use and learn the software. It is based around a case study, the main files of which you can access here - "Central Hub T:\Silverfin\FC Test Company Limited data" or in M-Files as Silverfin Test Client, SF12345, Accounts 31/12/20 (please note the location as you will have to upload these files within Silverfin). These files can only be accessed within Citrix and are read only - you should not need to overwrite any of them and please do not try to delete them.
To access Silverfin please follow this link https://francisclark.getsilverfin.com/. If you are within Citrix, this should automatically log you in. If you are asked to login then you should use your usual FC login details (in the form of name@pkf-francisclark.co.uk). You should save the Silverfin FC webpage as a Bookmark or Favourite on your toolbar as logging in will very soon become a fundamental part of your daily routine. Please note you should use the Microsoft Chrome browsers to use Silverfin, as Internet Explorer does not support all of its functionality. The training videos are recorded using a mix but there are few differences to Chrome that affect Silverfin (such as the drag and drop a file for Chrome is slightly more specific on where to drop).
Finally, the videos include usage of both M-Files and Windows Explorer to access files outside of Silverfin and you can use either depending upon where your files are located - you can also use Explorer to access M-Files via the M-Files folder within Explorer.
TRAINING PLAN:
When you are ready to get started please click on the below links and follow the notes that provide you with a training plan. On formal courses, there will be some Teams check-ins to attend along the way to aid with your training. Please remain open minded as you progress through the training - the process will be new to you. You will have the full support of your team and line manager as you adapt to the new FC way of working.
For reference a completed file can be found under "FC Test Company Limited- complete" as a Silverfin client - please only use this for reference and do not change any of the data or reports. The case study is based around a corporate client with manual records. There is a separate help/training guide that covers the differences for partnerships and sole traders, but the core elements of Silverfin covered below remain the same.
We would reemphasise that there are a large number of help articles in the FC Help Site, including a general FAQ ( here) that we will keep up to date as we develop and roll out Silverfin.
Please now work through the following steps, watching all the videos or reading all the documents as indicated in the links - these should open in a new window so return here when done with each one.
SET UP:
2.0 - How to set clients up in Silverfin: Please refer to this separate guide. Note that all clients to be set up within Silverfin must have already been set up in Practice Engine - we are restricting new clients in Silverfin to be specifically linked to a FC client, so you will only be able to practice the above when you start using Silverfin for real, but the process is straight forward, can be accessed from the front page of Frank and has help on the set up page as to the required fields. Please also remember that a PE code/client may contain more than one entity within Silverfin - for instance where a company and a sole trader are in the same PE code. This is fine and our systems are set up to allow this.
Finally, the guide emphasises about setting up clients in Silverfin in advance, especially where there are a live sync client to allow time for the initial sync. For us, this means using the Frank system to create the client and then going into the client in Silverfin and creating the sync - the sync will not start until you have done this, so do not leave this until you are ready to start work.
For this training exercise, there should be a specific client set up for you in Silverfin called "Z Your Name FC Silverfin Training Co" - please access this now for use throughout the remainder of the training. If you cannot find your client, please contact IT support.
2.1 - How to set up a sync to clients bookkeeping data – Please now view the video here (8 mins). We are not using an automatic sync for our case study to ensure we cover all the functionality of Silverfin, but a sync will actually be one of the mains ways you will work with live client data.
2.2 - How to import data manually – Please now view the video here (4 mins).
Interactive exercise: Using the data provided and in your demo company in Silverfin import 2019 information. Remember the file "31.12.2019 Ltd TB" can be accessed in Windows explorer from "Central Hub T:\Silverfin\FC Test Company Limited data" or in M-Files as Silverfin Test Client, SF12345, Accounts 31/12/20.
2.3 - Ludwig mapping – Ludwig is an intelligent add in to Silverfin that reduces the workload of mapping new clients and codes by learning what different codes are by referring to the code name and the underlying items posted to that nominal code. For average clients it should be quite accurate (circa 80%+) and for larger clients it should significantly reduce the time spent mapping codes. There are of course some areas such as recognising different director/partner names and allocating them to, say Director DLA - John Smith or Partner Capital account - M James, where no software is going to be able to cope and these will need to be manually mapped. It is fairly intuitive to use and is an obvious part of the mapping process - it is covered in full in the help article here.
2.4 - Silverfin chart of accounts – Please now view the video here (3 mins).
Help Article - Nominal code mapping quick guide - here. FC Tailored Chart of Accounts accessible in the file T:\Silverfin\FC CoA 29042021.xlsx
MAPPING:
3.1 - Check mapping, Import Prior Year Fixed Asset Register and roll forward (roll forward - for a manual client only) – Please now view the video here (11 mins).
Interactive exercise: Use the Help Articles to import the prior year (2019) Fixed Asset Register - there are two files in the download location noted above - do not move on until your Fixed Asset reconciliation is showing a green circle at the top. Then roll forward the Balance Sheet, create a new period, import your 2020 activity and copy your Fixed Asset Register into the new period. You can rewatch the above video if you need further help on this. There is a help article on the slightly more awkward manual upload/roll forward procedure here - we understand this will shortly be resolved by Silverfin.
Note: As you are working within Silverfin, please get used to pressing enter when, for example, switching between classes or changing date. This Press Enter is a common item within Silverfin when you select buttons - a silver box in the lower right hand corner will remind you to either press enter or click on the box itself. This is to minimise the refreshes that Silverfin has to do automatically to maintain processing speed.
A lso during this phase, Go into your client file and Follow this client (guide). If you now go into the Silverfin home screen (FC logo top right) and select Clients, you will see a list of all clients in Silverfin. This can be tailored further by selecting a segment from the drop down box - from the 1. Overall Workflow Status segment you can see the workflow status for clients that you follow from this screen (note it will take some time to populate if you follow a lot of clients as it is doing a lot of work). Click on your client name from the list (or press Clients again at the top of the screen if you do not see your client) to return to the client home page.
3.2 - Overview of client home page & workflows – Please now view the video here (5 mins).
3.3 - Reconciliations and checklists - Please now view the video here (9 mins).
A guide to the main nominal ledger reconciliations is here. An overview of the terminology is here whilst the symbols are explained here.
PLANNING:
4.1 - Planning – Please now view the video here (15 mins). Note the underlying concept to get all workflows to 100% by having all reconciliations to green circle status (or yellow square), all checklists completed (and all review points cleared - see video on communications below). Also note that we have changed the way we undertake tax assessment since this video was made and this is now under Preparation: Tax Risk Assessment - see separate help note here.
Please make sure you have read all the guides in the FC Help section - Planning
Interactive exercise: Complete the planning (note: there is no information provided here, just simply take some time to familiarise yourself and complete the templates included within planning) - ensure you firstly complete at least Permanent Information - Entity Type and Office as this affects other items. Allocate checklists across all Planning and Completion, star what you will be completing in Preparation (see notes here). Leave Statutory Information to the Preparation workflow phase below.
4.2 - Document Storage – Please now view the video here (4 mins).
4.3 - Internal communication - How to raise points for manager and interact with review points – Please now view the video here (12 mins). Remember we only tag colleagues when we need them to take action. Current settings are that there will be a daily summary email for anyone who is tagged - we are reviewing this, but tagging should be reserved where possible for items such as notifying the manager that the file is ready for review, or that review points have been cleared etc.
There are two good help articles that you can refer to for more information here and here. Please note that if you have the communication panel open in the Client Home Screen, it will also show the checklists that are attached to some of the individual workflows, such as completion showing under the title "4A. PREPARER (LTD)". These can be ignored in the Client Home Screen as they will be completed as part of the reconciliations or checklists within that workflow.
Interactive exercise: work with a colleague (if possible) to raise points on your own and each other’s files, making sure to raise communication via the 3 methods: general, in-document and in-line.
PREPARATION (AKA WORKING PAPERS IN SILVERFIN)
5.1 - Working Papers - Overview – Please now view the video here (11 mins). Note that our Preparation workflow has been improved and expanded since the video was recorded. For example you now have easy access to both Points for client and Points Forward from within the workflow; these are the same reconciliations that are accessible through the Planning and Completion workflows.
5.2 - Working Papers - How to post adjustments – Please now view the video here (8 mins).
Don't forget to complete the description boxes here to avoid losing an adjustment if errors shown are ignored.
5.3 - Working Papers - Interactive exercise introduction – Please now view the video here (2 mins).
Interactive exercise: Using the data provided in the Explorer and M-Files locations noted above, populate some of the templates from within working papers. Using the help articles to guide you through a step-by-step on each working paper - there is some overall guidance on our standard approach sheet here and specific help guides on all nominal code areas here. There is also FAQs here.
Take some time to get used to the system, the layout and post some adjustments. Remember the objective to get to green circles where possible.
You should start by opening the Excel file "2020 Notes to the job", which provides much of the general information for the assignment, and if you cannot find the information you need in this file, please look at the other Excel files you have access to. You might also find it helpful to have the Report - Trial Balance open in a separate tab on your browser as you proceed. Don't forget to mark the Prepared by button on each working paper as you progress and also note how Silverfin guides you to outstanding areas within each reconciliation or workflow. Also we have (hopefully) formatted the Excel files correctly - please see notes here on how to achieve this when you are importing your own Excel data.
There is a complete case study stored under FC Test Company Limited for your reference if you get stuck.
Please note that your work on an actual live client file would generally start with the Profit and Loss analytical review and Balance Sheet analytical review, making notes on the right hand side to either inform the work to be done on other areas or to raise queries for client/manager. Also note that the Tax Risk Assessment reconciliation is new and covered by the help note here.
Suggested approach (does not need to be followed and not all are required to be completed within allocated time):
As you explore the various reconciliations you will see questions on relevant nominal reconciliations such as stock, etc. These should be familiar from our old Excel papers and do need completing to get to 100% in Silverfin (note the blue squares if you haven't completed all the questions on any reconciliation).
5.4 - Accounts production - This is more straight forward process once all the underlying reconciliations in Planning and Preparation have been completed, as Sarah covered in her core functionality intro video on accounts production. We are trying not to vary from a standard process here for the majority of our clients, so please view the Silverfin Masterclass here, which also includes links to articles on posting accounts directly to Companies House (here). As we develop sector specific accounts we will be adding videos and guides to our help pages. You can also rewatch Sarah's Introduction to Accounts video if it has been a few days since you looked at that one.
Since this video was recorded a number of improvements have been completed in the system. Firstly there are now 2 rounding codes, one for the Profit & Loss and one for Balance Sheet and these can be configured from the client home screen, select 'Accounts' and then 'Rounding configuration'. This will need to be done for both the current and prior year. Also, any notes in the accounts will automatically be hidden if they are not applicable or there is no nominal activity so no need to unstar as mentioned in the video. If any of the hidden notes are required e.g. additional notes then these can be activated in the Overview reconciliation in the accounts workflow.
Now take some time to wander through the Accounts workflow and see how you can alter text and add notes. Look through the red triangles - most of these should be easy to clear (assume date of incorporation of 1/1/18, company size small, take rounding to cost of sales). Then go into the Export menu at the top of the screen and choose the FRS 102 export bundle and press Export. Let it work for a few seconds and you can then select the blue text to see the draft accounts. If you come back to this Export History screen (the accounts pdf will open in a new tab), you can save the accounts in your Documents by pressing the right hand Folder icon and selecting "move X to root/2020 folder" as appropriate.
5.5 - Working Papers - Getting ready for review and client meeting – Please now view the video here (8 mins).
Interactive exercise: Within your file create an export to take along to the client meeting, use the functionality to edit this export, adding in documents, adding and removing reconciliations. This could be based on what you have completed above. Try it out!
COMPLETION:
6.1 - Completion – Please now view the video here (3 mins).
Interactive exercise: Have a look around the completion section familiarising yourself with the documents and the checklists. Export your adjustments to see how this process would work (help is here). When you are happy with it, why not try locking down your file to see what impact this has on the templates?
6.2 - Opening Balances – Please now view the video here (5 mins).
Now you have completed the file, try comparing it with the sample completed file client kept under FC Test Company Limited - what were the differences between your end result and the sample file?
ROUND UP
You have now completed the review training exercise. Please remember that this is a new system and it will take some time to get used to - you may remember how long it took you to learn the DAPA/DAP/Excel routine. It will become easier, the more you use it - this was proved repeatedly within Johnston Carmichael and our initial testing.
Also note we can adapt it extensively if needed, so please now take a few minutes to reflect on this training and let us know:
NOTE
Once you have completed this training course, we will arrange for your test client to be deleted after a short while (we are charged by Silverfin for each client active) - remember you can always access this page, the training videos and the complete training client if you wish a refresher on any aspect of the above.